What is a security deposit?

A security deposit is a sum of money held in trust either as an initial part-payment

in a purchasing process (often used to prevent the seller selling an item to someone
else during an agreed period of time while the buyer verifies the suitability of the
item, or arranges finance)
Must a landlord provide a receipt for a security deposit?
A landlord shall give the tenant a written receipt stating the amount of the deposit,
the date of payment, and the premises to which it applies. The security deposit is
not an asset of the landlord, but must be held in trust by the landlord
Does a landlord have to pay interest on a security deposit?
A security deposit is a one-time only payment and cannot be more than one
month's rent. A landlord must place a security deposit in a trust account within two
days of receiving it. The money stays in the trust account until the tenant moves
out. Landlords must pay tenants interest on security deposits.
How much can be charged for a security deposit?
All states allow landlords to collect a security deposit when the tenant moves in.
Half the states limit the amount landlords can charge, usually not more than a
month or two worth of rent -- the exact amount depends on the state.
How much time does a landlord have to return a security deposit after the
tenant moves out?
A landlord must place a security deposit in a trust account within two days of
receiving it. The money stays in the trust account until the tenant moves out.
Landlords must pay tenants interest on security deposits.
What is a rental agreement?
A rental agreement is a contract between a landlord and tenant whereby a landlord
gives a tenant the right to occupy the residential premises
Does a landlord give a copy of a signed rental agreement to the tenant?
Landlords are required to prepare a written agreement for every tenancy. Even if a
landlord doesnt prepare one, the standard terms of a tenancy agreement still apply.
Also, paying a security deposit establishes a tenancy, even if there is no written
tenancy agreement and if the tenant never moves in.
Must a landlord give a tenant a copy of the Residential Tenancies Act?
Yes must have two copies one for the landlord and the other for the tenants

What is a Rental Premises Condition Report form?

Use this report to create a detailed description of the condition of the premises at
the start and the Please Print end of the lease. It will benefit both the landlord and
the tenant at the end of the lease agreement.
Does the Residential Tenancies Act apply to a verbal rental agreement?
Tenant must repair or pay for the repair of any damage to the rental property
caused by the tenant, the tenant's guest or another person who lives in the rental
unit. This includes damage in the tenant's unit, as well as any common area such as
a hallway, elevator, stairway, and driveway or parking area.
Can a landlord request postdated cheques for rent payments?
A post-dated cheque, or what is meant by this in the contested of landlord and
tenant law is that a landlord will often ask a tenant to provide 12 cheques, all at
once for the monthly rent. The cheques are post-dated, meaning each cheque is
dated for the day rent is due in each of the following 12 months. The point of postdating a cheque is that the cheque isn't "good" or capable of being cashed until the
date on the cheque. Therefore the post-dating prevents the landlord from
depositing all of the cheques at once
Are there residential premises not covered by the Act?
There are certain premises which do not come under the Act, such as accommodations:

where meals and bed linens are provided;

where the owner shares bathroom and kitchen facilities with an occupant, as in a boarding
home;

provided by an educational institution to its students (including units owned by Memorial

University of Newfoundland);

provided by religious, charitable or non-profit organizations;

in a hospital or nursing home;

occupied on a transient basis provided in a hotel, motel, inn, tourist home or hostel.

Does the Act apply to business/commercial rental agreements?

No, the Act does not apply to this type of landlord-tenant relationship.

Is a tenant responsible to have insurance on his/her personal belongings?

Yes, a tenant is responsible to carry insurance on his/her personal belongings. A tenant's personal
belongings are not covered by insurance the landlord may have on the residential premises.

When a rented premises is sold to a new owner, does the rental agreement
continue?
Yes, a tenant is responsible to carry insurance on his/her personal belongings. A tenant's personal
belongings are not covered by insurance the landlord may have on the residential premises.

What happens to a security deposit when there is a change in ownership?

The new owner will be responsible for the security deposit.

Can a landlord charge a fee for late payment of rent?

Yes, the landlord can charge $5.00 for the first day the rent is late and $2.00 for each additional day
the rent is not paid up to a maximum of $75.00.

Can a landlord charge a fee if a tenant's rent cheque is returned because

of non sufficient funds (N.S.F in the tenant's account?
If a rent cheque is returned N.S.F., a landlord may charge a fee not greater than $25.00.

Can a tenant withhold rent because a landlord is not maintaining the

premises?
No, not paying the rent may result in the landlord serving a short The tenant has other options to
have a landlord carry out required maintenance work. The tenant should contact the landlord in
writing outlining the maintenance work required. If the landlord does not then carry out requested
maintenance work, or if any work carried out is not satisfactory the tenant may contact the Division
for assistance.

Can a landlord terminate a rental agreement when the tenant does not
pay rent?
Yes, a landlord can give a short when the rent is not paid. Please refer to our Information on
Termination Notices (need pdf) for more details

Can a landlord increase rent by giving a verbal notice to the tenant?

No, a landlord must give the tenant a written notice to increase the rent.

Can a landlord increase rent anytime?

A landlord cannot increase the rent during any fixed term rental agreement or during the first 12
months of a week to week or month to month rental agreement.

Is a tenant responsible for damages to the residential premises?

A tenant is responsible to repair damages where the tenant or one of the tenant's guests or visitors
caused the damages

What can a landlord do if a tenant has not repaired damages?

No, a termination notice must be in writing.

Can a termination notice be verbal?

No, a termination notice must be in writing.

Where can I get a copy of the Residential Tenancies Act?

Official copies of the Act can be purchased for $5.25 (including tax) at our Locations and at
the Government Service Centres. Credit card, debit card, cash, cheque and money order payments are
accepted. Cheques and money orders must be made payable to "Newfoundland Exchequer". You can
order copies by phone using your credit card by calling 1 877 829-2608

If a landlord gives a tenant a Termination Notice in writing, is the tenant

required to give a written notice of his departure?
Yes, all notices of termination by a landlord will also require a written notice from a tenant when he is
leaving, otherwise rent is payable to effective date of termination.